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Unisys builds ROI tool to help carriers view subscriber service revenue

Johannesburg, 03 Dec 2002

Unisys has developed a planning tool that helps network service providers (NSPs) measure the potential financial impact of offering services such as voice portal and speech solutions to their subscribers. This return on investment (ROI) tool was developed in recognition of communications companies that justify today`s investments based on whether timely and sizable financial returns can be created for the NSPs` shareholders.

Voice solutions such as voice-activated dialling and voice-controlled Web browsers have the potential to improve a carrier`s average revenue per user (ARPU) through subscriptions, billable transactions and increased network usage.

"Unisys`s focus is to provide solutions and services that help its communications clients re-ignite revenue growth," says Dean Baker, sales manager, telecommunications at Unisys Africa. "Voice and speech technologies in particular have a great potential for driving revenue and profitability, so it is important to have a tool that helps model this for clients."

Unisys uses its voice services ROI tool with clients to help build a financial scenario that estimates revenues, costs and expenses that NSPs may generate by launching voice services in their respective markets. The tool was designed with hundreds of possible configurations for multiple voice services and Unisys`s retail pricing was applied to each configuration.

Users of the tool may enter their own assumptions or use Unisys default assumptions. These assumptions are based on end-user demand, pricing and service usage characteristics that Unisys has developed from its experience with early adopters in the market.

By combining actual client assumptions on demand and pricing with Unisys pricing for hardware, software and services, telecommunications clients obtain an indication of new service profitability and whether or not opportunity exists to create financial value via voice services offerings to their subscribers. More specifically, adding revenue, direct costs, depreciation forecasts and capital expenditure altogether will generate a five-year financial forecast from the NSP`s perspective.

The first release of the ROI tool enables modelling for voice-activated dialling, call centre auto-attendant, speech-controlled messaging, and voice access to Web content. Later releases are planned to include enhanced capabilities to model other forms of voice-controlled messaging.

"The tool also features details such as geography, descriptive statistics such as calls-per-day, and required ports," says Baker. "The development of this tool involved a joint effort of Unisys Market Source, the communications marketing consultancy and solutions development teams, reflecting the company`s full service approach."

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